What are positive and negative ramifications of discounted fee-for-service arrangements?

Answer 1

There are basically four ways that fees are collected for service in the healthcare industry. Fee for service is when physicians are paid for every single service and/or test they give based on the fees of other physicians charge in their local area. There is also the Discount fee for service in which physicians are paid for every test or service they provide based on a fee schedule or a pre-set discount off the usual price of doctor's in that area. Capitation is also a way to be paid per enrollee, not per service, and salary is when the doctors are paid on a weekly or monthly and not based on services or enrollees.